How to Prepare for and Overcome the Top 3 Objections in Insurance Sales

In insurance sales, you’re always looking for yes. Would you like to buy some insurance? Yes! Great. Would you like to buy more insurance? Yes!

Unfortunately, though, you’re going to face a lot of no.

Dealing with objections is an unavoidable aspect of sales. Which means you should prepare for those situations. You can do this by thinking through the factors that are part of any objection scenario—such as the reason for the objection, the type of prospect you’re engaged with, how the prospect is addressing you—and then brainstorm ways to overcome them.

At Hometown Quotes, we talk to a lot of insurance agents from all over the country, and we’ve noticed some themes. Here are some possible responses to three of the most common objections we hear mentioned:

OBJECTION 1: “I didn’t request a quote.”

1. “I apologize for the inconvenience. But while I have you, are you interested in finding out if I can save you money on your current policy?”

This might work well with someone who sounds matter-of-fact or pleasant. With a response like this, you acknowledge what they said simply, then quickly move on to trying to make a sale.

2. “Oh, no…how did I become one of THOSE guys/gals!? Well, I’d still be happy to give you a quote if you’re at all interested…”

If the person you called displays mild-to-moderate irritation, a more light-hearted response like this may help ease the tension. Just know that they may still respond with, “I’m not interested” and hang up.

3. “My gosh, I’m really sorry. Can I verify your contact information to make sure I mark you as a do-not-call on my list?”

This is for a potential customer who sounds really frustrated. By making them feel heard and in control, you’re helping to deescalate any anger. Once that has been accomplished, and depending on how you read the situation, you could try to throw in something like this:

“Again, I apologize. And I hope you won’t hold this against me, because I really would love a chance to earn your business. Could I give you my name and phone number in case you want a quote in the future? Or would you be open to a call a month or so before your policy is set to renew?”

OBJECTION 2: “This isn’t a good time to talk.”

1. “I’m sorry. Would you like me to try again in an hour or two?”

As with the first response to Objection 1, you acknowledge what the respondent said quickly, then get to the point—trying to figure out when you can make a sale. Having a good handle on your schedule before calling will enable you to substitute whatever timeframe works best for your calendar when it comes to the “hour or two” portion in this example.

2. “You should hear me tell a joke—I have terrible timing with those, too! Seriously, my apologies. When would be a good time for me to call back?”

This response establishes your humanity and again uses humor to disarm someone who has a wall up. (It won’t hurt to have a bad, but business appropriate joke ready just in case to prove your point.)

3. “I apologize. It sounds like I caught you at a really bad time. Would you like me to text or email you to set up a time that would work well for your schedule?”

This option gives your potential customer the power to say a quick yes and hang up but still preserves your ability to reach out.

OBJECTION 3: “I already have insurance.”

1. “That’s great, because people who maintain continuous coverage often qualify for better deals. This won’t take long, and who knows…maybe we can lower your rate!”

If your prospect doesn’t sound annoyed, you can treat “I already have insurance” as a statement of fact, not an objection, and move straight into the quoting process.

2. “Well, you may not realize that some insurance companies offer discounts for people who shop before their old policy is up. Should we give it a try and see if we can lower your current rates?”

The fact that insurance companies offer early-shopper discounts is still news to many. Sharing that bit of information can help establish your credibility as a competent agent.

3. “But do you have the right insurance? It’s a good idea to review your coverage limits and life circumstances periodically to make sure you’re still adequately covered. Could I ask you a few questions? I promise it doesn’t have to take much time.”

This truthful statement on your part helps to raise doubt about their current coverage and, like the last response, can help to establish your persona as a caring and knowledgeable agent.

These are three examples of objections, but you’ve likely faced others, too. Write them down and strategize ways to overcome them. Then right before you start making sales calls, take a moment to review your notes. A few minutes of preparation can help you move smoothly through objections to get to the point of sale.

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